Finance & LoansAvalanche vs Snowball

Credit Card Payoff Calculator

Credit card interest compounds monthly on the balance you carry, so paying the minimum can stretch a modest balance across a decade. Enter your cards and see the real timeline, the real interest cost, and which payoff order clears the debt sooner.

Your Cards

Leave a balance at 0 to skip that card. Extra payment is applied on top of all minimums.

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Percent-of-balance minimums: use the current dollar amount
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The whole difference between the two strategies
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DEBT-FREE IN
Strategy used
Total interest paid
Total amount repaid
Starting balance
Avalanche (highest APR first)
Snowball (smallest balance first)
Avalanche saves
Minimums only — interest

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Why the minimum payment is a trap

A card minimum is usually set at roughly 1–3% of the balance, or a small floor amount, whichever is larger. That is deliberately close to the interest being charged. On a $4,800 balance at 22.9% APR, the first month alone adds about $91.60 in interest — so a $120 minimum only removes about $28 of principal. As the balance falls, the minimum falls with it, which is why minimum-only payoff timelines run past a decade.

Avalanche versus snowball, without the cheerleading

Avalanche sends every spare dollar to the card with the highest APR. It is mathematically optimal: it always clears the debt at least as fast and always costs the least interest.

Snowball sends spare dollars to the smallest balance first. It costs more, sometimes only a few dollars, sometimes hundreds. What it buys is a card closing sooner, which some people need to stay with the plan.

This calculator runs both and shows the gap in dollars, so the decision is made on a real number rather than on a slogan. If the gap is small, pick the one you will actually stick to. If the gap is large, the maths should win.

How the maths works

Each month, every card is charged interest of balance × APR / 12. Minimum payments are applied to all cards; the extra payment goes entirely to the current target card. When a card clears, its minimum is added to the pool — this is the part people forget, and it is what makes the last cards disappear quickly. The model stops at 600 months and reports if the payments are too small to ever clear the debt.

Frequently Asked Questions

Does paying twice a month reduce credit card interest?
Slightly, yes. Card interest is normally charged on the average daily balance, so money that lands mid-cycle reduces the average for the remaining days. The effect is real but small — typically a fraction of a percent. Paying more matters far more than paying more often.
Should I close a card once it is paid off?
Usually not immediately. Closing a card removes its credit limit from your utilisation ratio and can shorten your average account age, both of which can lower a credit score. Keeping it open with no balance is generally the safer option unless it carries an annual fee.
Why does the avalanche sometimes save almost nothing?
When the APRs are close together, the order barely matters — the interest charged is nearly identical either way. The gap widens when one card has a much higher rate or a much larger balance than the others.
What if my minimum payment is a percentage, not a fixed amount?
Enter the current dollar amount your statement shows. This model holds the minimum constant, which is slightly conservative: a percentage minimum would fall over time, which would stretch the timeline further. Your real payoff will not be slower than the figure shown.